NVIDIA reported profit of $136.5 million, or 24 cents a share, down 7.1% sequentially from $146.9 million, or 25 cents a share. Earnings per share were 29 cents, excluding items, down from 32 cents. Analysts polled by Thomson Reuters expected earnings of 16 cents a share.
Revenue fell 3.6% to $1.1 billion, which beat the NVIDIA's expectation of $1.03 billion to $1.07 billion. Gross margin widened to 54.8% from 54.1%, while total operating expenses rose slightly to $452.8 million.
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NVIDIA reported the results early because of an email mistake that accidentally sent a preliminary draft of the results to 100 people on an internal distribution list at the company. NVIDIA said it would release the full results and guidance on Thursday, the originally anticipated release day.
The stock just after the market opened but was down 1.88% to $18.28 at 11:30 a.m.
Separately, TheStreet Ratings team rates NVIDIA CORP as a "buy" with a ratings score of A-. TheStreet Ratings Team has this to say about their recommendation:
"We rate NVIDIA CORP (NVDA) a BUY. This is based on the convergence of positive investment measures, which should help this stock outperform the majority of stocks that we rate. The company's strengths can be seen in multiple areas, such as its revenue growth, largely solid financial position with reasonable debt levels by most measures, reasonable valuation levels, solid stock price performance and expanding profit margins. We feel these strengths outweigh the fact that the company has had sub par growth in net income."